What Does Full Coverage Auto Insurance Include?
2 Answers
Full coverage auto insurance consists of basic insurance and additional insurance, which means it includes compulsory traffic insurance, vehicle damage insurance, third-party liability insurance, no-deductible coverage, water damage insurance, separate glass breakage insurance, full vehicle theft insurance, passenger liability insurance, spontaneous combustion loss insurance, no-deductible special agreement insurance, and body scratch insurance, among others. Below are the main types of insurance coverage: 1. Compulsory Traffic Insurance: Mandatory for all vehicles by the state, it covers personal injury, death, and property damage caused to victims (excluding the vehicle's occupants and the insured) in road traffic accidents within the liability limits. 2. Vehicle Damage Insurance: Covers damage to the insured vehicle caused by an accident involving the insured or an authorized driver. 3. Third-Party Liability Insurance: Covers direct losses of personal injury, death, or property damage to a third party caused by an accident involving a qualified driver. 4. No-Deductible Coverage: An additional insurance that typically refers to a 'special agreement' where, after an accident, the insurance company pays within the liability limits according to the main insurance clause's deductible calculation. 5. Passenger Liability Insurance: Insurance that covers the vehicle's passengers as the beneficiaries.
I just bought a new car last year and opted for comprehensive insurance, which typically includes several main components: First, there's third-party liability insurance, which covers medical expenses or property damage if you hit someone else; collision insurance takes care of repairing your own car's damage from accidents, such as scratches with other vehicles; comprehensive insurance is even more extensive, covering theft, fire, flooding, and even natural disasters like hail; there's also personal injury protection insurance, which pays for your or your passengers' medical expenses, especially crucial in severe accidents. Some insurance companies also add roadside assistance services, like towing for flat tires or breakdowns. I feel comprehensive insurance provides a strong sense of security, especially during the novice period—don't skimp on this expense. Just make sure to choose a plan with a low deductible to avoid hurting your wallet when repairs are needed.
